Gholamreza Jamshidi
CEO
Nouri Petrochemical Company
Participates in
TECHNICAL PROGRAMME | Energy Fuels and Molecules
Fueling the Future: Innovations & Strategies for Tomorrow’s Electricity Supply
Forum 13 | Digital Poster Plaza 3
28
April
10:00
12:00
UTC+3
In alignment with global energy transition trends and Iran’s national strategy to diversify its energy portfolio beyond its heavy reliance on natural gas (~85% for power generation), this study presents a comprehensive techno-economic feasibility analysis for the development of a utility-scale solar photovoltaic (PV) plant by Nouri Petrochemical Company, a major entity in Iran’s oil and gas sector. The project explores the viability of establishing a 100 MW or 200 MW solar facility as a strategic move towards sustainable energy management, operational resilience, and corporate social responsibility.
The methodology involved a multi-faceted approach. A rigorous site selection process was conducted using a weighted multi-criteria analysis, evaluating geographical, climatic, and infrastructural parameters across several candidate locations, ultimately identifying the Khor region in Lar, Fars province, as the optimal site due to its high Global Horizontal Irradiance (GHI), land availability, and proximity to grid infrastructure. Technical performance was simulated using PVSyst software, projecting the net energy injection to the grid for both 100 MW and 200 MW capacities.
Financial viability was meticulously modeled using COMFAR III Expert software under three distinct scenarios, with the most realistic model incorporating a hybrid of foreign currency (Euro) for imported equipment (panels, inverters) and local currency (Rial) for domestic costs and revenues. Revenue streams were based on selling electricity on the Iran Energy Exchange’s (IRENEX) Green Electricity Board, a market-based mechanism that de-risks investment.
The results confirm the project’s robust financial attractiveness. The optimal configuration—a 200 MW plant in the Khor region—yields an exceptional Internal Rate of Return on Equity (IRRE) of 61.26% and a Net Present Value (NPV) of approximately 20.6 trillion IRR, with a discounted payback period of just over 4 years, inclusive of the two-year construction phase. A key enabler for this strong performance is a policy allowing the use of the company’s export-generated foreign currency to procure equipment, significantly optimizing capital expenditure. Beyond financial returns, the 200 MW plant is projected to save 110 million liters of fossil fuels annually and create approximately 250 direct and indirect jobs.
This study concludes that integrating large-scale solar PV generation is not only technically feasible but also a highly profitable and strategic investment for actors in the fossil fuel industry. It serves as a replicable model for leveraging corporate financial strength and export capabilities to accelerate the energy transition, enhance national energy security, and achieve significant environmental and social co-benefits.
Co-author/s:
Hamid Rajaei, Head of product development, Technology and Innovation Department, Nouri Petrochemical Company.
Sajjad Keshavarz, Head of localization and new technologies, Nouri Petrochemical Company.
Dr. Sayyed Hamid Esmaeili-Faraj, Development Researcher, Nouri Petrochemical Company.
The methodology involved a multi-faceted approach. A rigorous site selection process was conducted using a weighted multi-criteria analysis, evaluating geographical, climatic, and infrastructural parameters across several candidate locations, ultimately identifying the Khor region in Lar, Fars province, as the optimal site due to its high Global Horizontal Irradiance (GHI), land availability, and proximity to grid infrastructure. Technical performance was simulated using PVSyst software, projecting the net energy injection to the grid for both 100 MW and 200 MW capacities.
Financial viability was meticulously modeled using COMFAR III Expert software under three distinct scenarios, with the most realistic model incorporating a hybrid of foreign currency (Euro) for imported equipment (panels, inverters) and local currency (Rial) for domestic costs and revenues. Revenue streams were based on selling electricity on the Iran Energy Exchange’s (IRENEX) Green Electricity Board, a market-based mechanism that de-risks investment.
The results confirm the project’s robust financial attractiveness. The optimal configuration—a 200 MW plant in the Khor region—yields an exceptional Internal Rate of Return on Equity (IRRE) of 61.26% and a Net Present Value (NPV) of approximately 20.6 trillion IRR, with a discounted payback period of just over 4 years, inclusive of the two-year construction phase. A key enabler for this strong performance is a policy allowing the use of the company’s export-generated foreign currency to procure equipment, significantly optimizing capital expenditure. Beyond financial returns, the 200 MW plant is projected to save 110 million liters of fossil fuels annually and create approximately 250 direct and indirect jobs.
This study concludes that integrating large-scale solar PV generation is not only technically feasible but also a highly profitable and strategic investment for actors in the fossil fuel industry. It serves as a replicable model for leveraging corporate financial strength and export capabilities to accelerate the energy transition, enhance national energy security, and achieve significant environmental and social co-benefits.
Co-author/s:
Hamid Rajaei, Head of product development, Technology and Innovation Department, Nouri Petrochemical Company.
Sajjad Keshavarz, Head of localization and new technologies, Nouri Petrochemical Company.
Dr. Sayyed Hamid Esmaeili-Faraj, Development Researcher, Nouri Petrochemical Company.
